March 26 (Reuters) - German media conglomerate Bertelsmann reported a slight decline in its 2025 operating profit on Thursday, weighed down by weakness in broadcasting subsidiary RTL. The group
Bertelsmann signals M&A appetite after RTL weakness drags earnings
Bertelsmann's Financial Performance and Acquisition Strategy
By Cian Muenster, Emanuele Berro and Klaus Lauer
CEO Thomas Rabe Outlines M&A Ambitions
March 26 (Reuters) - The head of Bertelsmann said on Thursday that it had a “very well‑filled pipeline” of potential acquisitions and he could imagine deals across a range of the German conglomerate's businesses from TV to book and music publishing.
Bertelsmann may do "one or two larger things this year”, CEO Thomas Rabe told Reuters, talking about M&A plans after annual results. He added that investments in the hundreds of millions of euros would be significant for the group that owns broadcaster RTL, record label BMG and publisher Penguin Random House.
Financial Results for 2025
The group reported a slight decline in its adjusted operating earnings before interest, taxes, depreciation and amortisation to 3.02 billion euros ($3.49 billion) for 2025, weighed down by advertising-related weakness at RTL.
CEO's Statement on Financial Year
“2025 was a solid financial year for us. In a challenging environment, our broad business and geographic footprint once again proved its worth," Rabe said in the earnings statement, noting that the earnings were slightly higher when excluding currency and portfolio effects and the sale of RTL's Netherlands division.
RTL's Performance and Impact
RTL, which accounts for around a third of Bertelsmann's total revenue, earlier in March reported an 8% drop in its adjusted operating profit due to weak advertising markets, while expanding the number of subscribers in its streaming business by 19%.
Participating Certificate Distributions
Bertelsmann said holders of its 2001 participating certificates were expected to receive a distribution of 15% of the principal amount, with payouts on the 1992 participating certificates rising to 6.01% from 5.53% a year earlier.
Additional Information
($1 = 0.8653 euros)
(Reporting by Cian Muenster and Emanuele Berro in Gdansk and Klaus Laurer in Berlin; editing by Milla Nissi-Prussak)
